DE WILDT

While awaiting the issue of New Order Prospecting Rights on NPA 1 De Wildt, the company has completed a review of the existing data and prefeasibility study that confirms the viability of the project based on current parameters. Discussions with the South African Department of Minerals and Energy and the issuing of New Order Prospecting Rights should be forthcoming, pending finalisation of Nkwe’s revised BEE strategy.

Testing of the eastern portion of De Wildt continued. Ore body modelling of the UG2 and pyroxenite footwall and confirmation of the pre-feasibility numbers and parameters also continued. Borehole DWD 12 intersected distorted UG2 chromitite at the planned depth of about 1000m at the most north-eastern boundary of Nkwe’s current project area. This is currently the most eastern UG2 intersection reported within the south-eastern Bushveld Complex (De Wildt area). Borehole DWD 13 intersected UG2 at the planned depth of 230m. The BFS will commence with the granting of the New Order Rights for the project under the new Mineral and Petroleum Resources Development Act (MPRDA) coupled with an expected increase in the resource to more than 10M oz. A substantial infill drilling programme will commence on issue of these rights with the finalisation of the appointment of consultants currently underway.

The resource ounces were increased by more than 60% from 39Mt for 4.5M 5E + Au ounces to 61.2Mt for 7.2M 5E + Au ounces on the existing 2,500 ha prospect and an additional 500 ha from a successful continuous State application.